Computation of percentage of profit to stated capital Stated capital. $500.00 1, 631, 163. 21 Stated capital of $500 divided into the net operating profit of $1,631,163.21 gives 326,232.6422 percent. Statistics on profit of contractor Jack & Heintz, Inc., fiscal year ending Oct. 31, 1941 [Unadjusted; Using figures shown by contractor's books] Total sales... Cost of sales. $4, 339, 379. 52 3, 543, 256. 92 Administrative, general expense, and other expenses Gross profit--- Total____ Capital and surplus with which contractor began business Plant and equipment furnished by contractor as of Oct. 31, 1941. Percentages: Profit to total sales.... Profit to cost of sales__ Profit to capital and surplus. Profit to contractor's plant and equipment investment. Profit to stated value of capital stock_ Total Army and Navy contracts awarded to Mar. 1, 1942, as per contractor's contract files.. 796, 122. 60 419, 585. 22 376, 537. 38 100, 000. 00 329, 945. 38 500.00 8. 67 10. 62 376.53 114. 12 75, 307. 47 $58, 191, 899. 35 Method of computation.—Divide profit as per contractor's figures, $376,537.38, by total sales, cost of sales, capital and surplus, contractor's plant investment, and stated value of capital, respectively, for the respective percentages. 1 Refund of California unemployment insurance deductions to June 30, 1940. $600.00 300.00 1, 800.00 300.00 $3,000.00 24.00 MEMORANDUM ON CORPORATE RECORD OF JACK & HEINTZ, INC. A photostatic copy of the Corporate record of Jack & Heintz, Inc., is included herewith, and contains the following: 1. Articles of incorporation. 2. Stock certificates. 3. Record of meeting of incorporators, reciting that on November 2, 1940, William 3. Jack, William R. Jack, Ralph M. Heintz, and C. L. Jack acknowledged articles of incorporation; that on November 5, 1940, the articles were filed in the office of the secretary of state; and reciting the articles of incorporation. 4. Record of meeting of incorporators on November 7, 1940, to order the opening of books for subscriptions. At the meeting it was agreed the purpose in organizing was to take over the assets and business of Jack & Heintz, Ltd., a California corporation. The incorporators accepted the offer of Jack & Heintz, Ltd., to transfer all its assets to Jack & Heintz, Inc., in exchange for all capital stock of the new corporation, and the assumpton by it of the debts of the old corporation. The record recites the agreement, said agreement stating the 100 shares of stock were to be delivered, 25 shares each, to William R. Jack, William S. Jack, C. L. Jack, and Ralph M. Heintz. 5. Certificate of acknowledgement of notification of exemption from the division of securities, Department of Commerce, State of Ohio. 6. Record of first shareholders' meeting (November 8, 1940) for purpose of adopting regulations, electing a board of directors, and other business. At the meeting a code of regulation for the government of the shareholders was adopted. The four incorporators (the only shareholders) were elected directors. 7. Record of proceedings of directors. (a) Waiver of notice of first meeting. (b) Record of first meeting (November 8, 1940), at which William S. Jack was elected chairman and Ralph M. Heintz, secretary, and at which a code of bylaws for the directors was adopted. The following persons were elected as officers: William S. Jack, president; William R. Jack, vice president and treasurer; Ralph M. Heintz, vice president and secretary; C. L. Jack, vice president. (c) Waiver of notice of second meeting of board of directors. (d) Record of second meeting of board of directors (November 15, 1940), at which the following salary schedule was adopted: (c) Waiver of notice of special meeting of stockholders. (f) Record of special meeting of stockholders (December 4, 1940), amending the code of regulations to give the board of directors power to name the officer or officers required to sign checks. (g) Waiver of notice of special meeting of board of directors. (h) Record of special meeting of board of directors (December 5, 1940), at which George W. Jack was constituted attorney in fact for the corporation to execute instrument evidencing changes already agreed to in contracts with the United States Government. (i) Waiver of notice of special meeting of board of directors. () Record of special meeting of board of directors (December 11, 1940), at which it was agreed to pay to each employee a Christmas bonus of $100, a watch, and some fruits and nuts, with $15,000 as the limit of expenditures. (k) Waiver of notice of special meeting of board of directors. (1) Record of special meeting of board of directors (January 4, 1941), authorizing the president to agree to purchase all of the stock of the K-W Ignition Corporation for $100,000, upon covenant by the owner thereof to transfer the stock and to procure from the K-W Realty Corporation a lease to Jack & Heintz, Inc., of the building and land occupied by the K-W Ignition Corporation, and other minor convenants. The directors also authorized and directed the secretary of Jack & Heintz, Inc., to issue stock certificates to the stockholders. (m) Record of special meeting of board of directors (March 1, 1941) authorizing the president to enter into contracts with the Defense Plant Corporation. (n) Waiver of notice of special meeting of board of directors. (0) Record of special meeting of board of directors (April 15, 1941) authorizing the president to enter into additional contract with the Defense Plant Corporation. (p) Waiver of notice of special meeting of board of directors. (q) Record of special meeting of board of directors (May 2, 1941) at which the officers of Jack & Heintz, Inc., or any of them, were empowered to execute for the corporation certificates of disbursements required by the Defense Plant Corporation. (r) Certified copy of resolution to open an account with the Union Bank of Commerce. (8) Waiver of notice of special meeting of board of directors. (t) Record of special meeting of board of directors (June 16, 1941) at which the following salary schedule was adopted: Wm. S. Jack, president... Ralph M. Heintz, executive vice president and secretary. C. L. Jack, vice president____ Wm. R. Jack, vice president and treasurer. all to be retroactive to November 15, 1940. $50,000 50,000 22, 600 22, 600 It was also voted to pay a bonus of 5 percent of the monthly pay roll, to be divided equally among all employees who had been with the company 90 days or longer. (u) Waiver of notice of special meeting of board of directors. 70533-42--11 |